PETROAN urges fuel suppliers to reduce prices as global crude oil declines

The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called on refiners, depot owners and fuel importers to reduce ex-depot and pump prices in line with the recent decline in global crude oil prices.

 

PETROAN National President, Billy Gillis-Harry, made the appeal in a statement issued on Friday in Abuja.

 

He said the drop in international crude oil prices presents an opportunity for operators in the downstream petroleum sector to pass the benefits of lower costs to Nigerian consumers.

 

According to him, market realities should be reflected in both ex-depot and retail pump prices to promote fairness and provide economic relief for the public.

 

“Recent developments in the global oil market indicate that crude oil prices are experiencing a downward trend.

 

“Brent crude has fallen to approximately 77 to 78 dollars per barrel following the ceasefire agreement between the U.S. and Iran and expectations that oil exports through the Strait of Hormuz will gradually normalise,” he said.

 

Gillis-Harry noted that market analysts expect Brent crude to trade between 75 and 82 dollars per barrel next week, while West Texas Intermediate (WTI) crude is projected to trade between 72 and 79 dollars per barrel.

 

He attributed the decline in prices to the implementation of the U.S.-Iran peace agreement, increased crude exports from the Middle East and concerns over weakening global oil demand.

 

However, he warned that disruptions such as a collapse in peace negotiations, fresh supply interruptions or unexpected production cuts by the Organisation of the Petroleum Exporting Countries (OPEC) and its allies could trigger another increase in prices.

 

The PETROAN president also expressed concern that the landed cost of imported petroleum products appeared lower than the prices offered by some domestic refiners.

 

He said the development highlights the need for a more competitive downstream petroleum market that guarantees consumers access to affordable fuel.

 

Gillis-Harry urged the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to continue issuing import licences to qualified marketers, arguing that increased competition would help moderate prices, discourage monopolistic practices and ensure a steady supply of petroleum products nationwide.

 

He maintained that a competitive market remains one of the most effective ways to improve efficiency, reduce costs and protect consumers, urging all operators to adjust prices in line with prevailing market conditions.